For each price in the following table, use the graph to determine the number of lamps this firm would produce in order to maximize its profit. Assume that when the price is exactly equal to the average variable cost, the rm is indifferent between producing zero lamps and the profitmaximizing quantity. Also, indicate whether the firm will produce, shut down, or be indifferent between the two in the short run. Lastly, determine whether it will make a prot, suffer a loss, or break even at each price. Price Quantity (Dollars per lamp) (Lamps) Produce or Shut Down? Profit or Loss? 4 0 V Shut down V Loss V 8 0 7 Shut down 7 L055 7 12 36:000 V Either shut down or Eroduce V Loss V 36 48,000 '7 Produce '7 Break even 'I' 48 52:000 V Produce V Profit V 60 56,000 7 Produce V Prot V On the following graph, use the orange points (square symbol) to plot points along the portion of the firm's short-run supply curve that corresponds to prices where there is positive output. (Note: You are given more points to plot than you need.) 80 72 Firm's Short-Run Supply 64 56 48 40 PRICE (Dollars per lamp) 32 24 16 8 16 24 32 40 48 56 64 72 80 QUANTITY (Thousands of lamps)Suppose there are 9 firms in this industry, each of which has the cost curves previously shown. On the foliowing graph, use the orange points (square symbol) to plot points along the portion of the industry's shortrun suppiy curve that corresponds to prices where there is positive output. (Note: You are given more points to piot than you need.) Then, piece the biack point {pius symboi) on the graph to indicate the shortrun equiiibrium price and quantity in this market. Note: Dashed drop lines will automatically extend to both axes. Note: Dashed drop lines will automatically extend to both axes. Bl] -I- r2 Industry's ShortRun Supply I-I- . Equiliblium 4|] 32 24- PRICE (Dollars par lamp) U ?2 144 216 288 360 432 504 576 548 720 QUANTITY (Thousands of lamps) At the current shortrun market price, rms will V in the short run. In the long run, 6. Deriving the short-run supply curve Consider the competitive market for halogen lamps. The following graph shows the marginal cost (MC), average total cost (ATC), and average variable cost (AVC) curves for a typical firm in the industry. 80 72 64 56 18 COSTS (Dollars) 40 ATC 32 24 16 AVC CO MC 8 16 24 32 40 48 56 64 72 80 QUANTITY (Thousands of lamps)